Search smh:

Search in:

Tempers flare as Hartcher fronts ICAC

Sophie Tarr

Chris Hartcher waited months to clear his name but the sidelined NSW Liberal minister's appearance before the corruption watchdog has ended in a shouting match and a chase through Sydney's streets.

The verbal sparring between the alleged slush fund "mastermind" and counsel assisting the Independent Commission Against Corruption (ICAC), Geoffrey Watson SC, became so heated Commissioner Megan Latham was forced to step in.

She warned the lawyers in the room to respect her authority or face the consequences.

The fiery scenes spilled onto the streets when Mr Hartcher led reporters, photographers and cameramen on a bizarre trail through three city shopping centres, and his supporters jostled with journalists.

Advertisement

ICAC has been investigating "sham" company EightByFive, set up by Mr Hartcher's former staffer Tim Koelma.

The company allegedly issued fake invoices to disguise banned political donations from property developers, including Sydney's Gazal family and former coal mogul Nathan Tinkler's Buildev.

Mr Hartcher is also accused of using his own nephew to launder $4000 in Liberal Party donations through his old law firm and then through a business run by the partner of long-time aide Ray Carter.

"I'm putting to you that you pocketed the $4000," Mr Watson said.

"I reject that absolutely," Mr Hartcher said.

"I reject it absolutely and I resent it."

"Don't you dare tell me you resent anything," Mr Watson bellowed, as Mr Hartcher's brief repeatedly called for a time-out.

Ms Latham put her foot down, warning both sides to "back off right now" - and she has put the dozens of lawyers involved in the inquiry on notice.

"If anyone wants to question my rulings again, then they can face the consequences. I have authority over this inquiry. Do not question my rulings," Ms Latham said.

Mr Hartcher repeatedly claimed he could not recall key conversations or transactions.

"I am putting to you that you're bunging this on, that you're conveniently hiding behind `I don't recall' when it suits you, and when you've got a speech to make, all of a sudden you have a brilliant recall, word-for-word. That's the truth of it," Mr Watson said.

"Well, I reject that," Mr Hartcher shot back.

He has admitted to putting Mr Koelma in touch with the Gazal family, with former Australian Water Holdings boss and prominent Liberal figure Nick Di Girolamo, and with executives from Buildev because he believed the companies could use a government relations consultant.

But Mr Watson said he was "right at the heart of a corrupt scheme to extract donations" from banned political donors.

"Not only did you take money from prohibited donors, but as a result of taking that money, you or people in your office either met with those donors or intervened on their behalf or did things for them to help them personally, do you accept that?" Mr Watson asked.

"No," Mr Hartcher responded.

"I did not do any favours for any persons in property."

He will be back in the witness box on Tuesday morning for cross-examination.